Internal control system

For the purposes of protection of investors’ rights and legal interests, the bank shall create an effective system of internal control over the own financial and economic activities. The bank’s internal control system is designed to provide an appropriate level of reliability relevant to the scope and nature of the bank’s activity, and to fulfill the objectives set by the bank’s Management Bodies, as well as requirements stipulated by the current law of the Russian Federation.

The system of control over the financial and economic activities of the bank shall include the bank bodies and services, whose activity enable to discover, prevent and restrict the financial and operational risks effectively, to detect non-compliance in execution of the own obligations by the internal divisions and individual employees and officers of the bank with the requirements of the current laws, mistakes and misuses, as well as drafting of the consultation materials and recommendations for avoidance of the discovered facts in future

Coordination of the current activities of the elements in the system of control over the financial and economic activities of the bank shall be executed by the Audit Committee of the Board of Directors of the bank.

The Audit Commission elected by the General Meeting of Shareholders is the body responsible for the control over the bank’s financial and business activity according to the current legislation and the bank’s Articles of Association.

The review of the bank’s financial and business activity is carried out by the Audit Commission according to the bank’s annual results and at any time by the decision of the General Meeting of Shareholder(s) owing (in aggregate) not less than 10 percent of the bank’s voting shares or by the initiative of the Audit Commission according to the approved schedule.

In order to carry out the annual audit Vozrozhdenie Bank engages the Auditor who is not related to its material interests or material interests of its shareholders.

The bank provides participation of the Auditor’s representatives in the annual General Meeting of Shareholders so shareholders could ask Auditor about issues interesting to them.

The results of Auditor’s opinion consideration prepared by the Audit Committee and approved by the Board of Directors are submitted with the materials to the General Meeting of Shareholders.